Answered step by step
Verified Expert Solution
Question
1 Approved Answer
You have the following information on a project's cash flows. The cost of capital is 12.5%. Year Cash flows 0 -$123,000 1 28,000 2 31,000
You have the following information on a project's cash flows. The cost of capital is 12.5%.
Year | Cash flows |
0 | -$123,000 |
1 | 28,000 |
2 | 31,000 |
3 | 36,000 |
4 | 41,000 |
5 | 49,000 |
The NPV of the project is $______(round it two decimal places);
the IRR is _____percent (round it to two decimal places);
the payback is_____years (round it to two decimal places).
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started